Pennsylvania | USA

Everything you Need to Know about Pennsylvania Auto Insurance

Vehicle owners in Pennsylvania have a legal obligation to purchase auto insurance. As a responsible road user, it is vitally important to develop a thorough understanding of the way auto insurance affects all parties involved in a road traffic accident. Naturally, levels of coverage will be directly influenced by the needs of the individual but all road users must, at the very least, have the minimum mandatory amount of coverage in place.

Liability Coverage

Liability coverage is mandatory in Pennsylvania. This means that you are legally obliged to make an auto insurance purchase for this particular type of coverage as a means of assuming financial responsibility, especially if you are unfortunate enough to be involved in an accident. If you are found to be at fault in a collision, liability coverage will compensate any injured parties and cover the cost of repairs or replacement with regards to their property.

The absolute minimum level of liability coverage for bodily injury in Pennsylvania is $15,000 per person and $30,000 per accident. Many road users choose to purchase higher levels of coverage to avoid the risk of out-of-pocket expenses if a basic policy fails to meet their financial responsibilities. In some cases, an injured third party may go on to take legal action against an at-fault driver. Purchasing a sufficient level of liability coverage as part of an auto insurance policy can protect personal assets such as homes, income or savings.

A further aspect of liability coverage is property damage liability and in Pennsylvania, this is set at a minimum level of $5,000. Once again, this particular aspect of an auto insurance policy is mandatory. Property damage liability covers the cost of repairs to third party vehicles in the event of an at-fault accident, and also compensates other road users and individuals who sustain damage to their personal belongings because of your driving actions.

If an auto insurance policyholder is found to be at fault in an accident, it is inevitable that their auto insurance rates will increase in the future. Most carriers have a series of surcharges in place that will be attached to future premiums whenever a claim is made within the previous coverage term. In most cases, any surcharges applied will be explained when an auto insurance policy is renewed.

Personal Injury Protection

Personal injury protection is a form of first party auto insurance protection that pays for medical costs accrued by the policyholder in an at-fault accident and once again, this is a mandatory requirement in the state of Pennsylvania. The minimum levels of personal injury protection required by Pennsylvania state law is $5,000. It is important to remember that personal injury protection is an entitlement and as such, any claims made on this section of an auto insurance policy will not be penalised with additional surcharges at a later date.

If a policyholder already owns private health insurance, the minimum $5,000 requirement should be adequate. An auto insurance policy will pay for the first $5,000 worth of treatment, and any additional costs incurred after this figure has been exceeded can be covered on private health insurance instead. In most instances, even if private health insurance hasn’t been purchased, the £5,000 minimum level of personal injury protection should be more than enough.

Optional Coverage

The overwhelming majority of auto insurance companies offer an extensive range of additional coverage features, but none of these are required as part of Pennsylvania state law. These items are only offered as optional extras, but should be considered by vehicle owners with cars that have a high market value or loans secured upon them.

Collision coverage pays for the cost of repairs to the vehicle of the policyholder, even if they are found to be at fault in a road traffic accident. In most instances, a deductible figure will be applied to collision coverage, and this means that the policyholder will be responsible for a predefined amount of the repair costs before the auto insurance company has to make a contribution. If you are the owner of an older car with a low market value, collision coverage can usually be waived. Auto insurance companies will only pay out to the current market value of a vehicle as described in Kelley’s Blue Book, and purchasing collision coverage for an older car rarely proves to be cost-effective. Collision coverage only pays for accident-related damage.

Comprehensive auto insurance is also optional, but it guarantees a cash settlement if a vehicle is written off after a non-accident incident, or covers the cost of repairs if the vehicle can be restored without exceeding it’s current market value. There are many reasons why comprehensive auto insurance should be purchased, but two of the most important factors to consider are fire and theft. Individuals with a vehicle that has a relatively high market value should always consider comprehensive auto insurance if they live in high-density urban areas with significant rates of crime. Comprehensive auto insurance also pays for the cost of repairs if a vehicle is damaged because of adverse weather conditions including hailstones and flooding.

Residents of Pennsylvania who live in highly populated areas should always consider uninsured and underinsured motorist coverage. The growing number of road users who choose to ignore their legal responsibility of purchasing auto insurance have created a new menace on Pennsylvanian state roads and highways. In many instances, an at-fault driver without auto insurance coverage either drives away from an accident, or has insufficient financial means to pay for their liabilities personally. Because of the increasing problems that surround uninsured and underinsured drivers, UM/UIM coverage is becoming increasingly popular as a ‘smart’ auto insurance addition.

Where to Purchase Pennsylvania Auto Insurance

Price comparison websites remain as the best means of finding cheap auto insurance. At Promiga, we work in unison with industry giants such as Geico and State Farm to bring you unbeatable coverage at the best price. We never charge fees or commissions for our services, and never pressure you into making a purchase. All of our online auto insurance quotes are available without having to divulge sensitive personal information, and we never pester our customers with annoying follow-up phone calls or junk mail.

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